Pullback
A temporary counter-trend retracement within an ongoing trend, offering a lower-risk entry in the direction of the trend.
A pullback is a short-term price move against the primary trend. In an uptrend, price dips before resuming higher; in a downtrend, it bounces before continuing lower. Pullbacks are normal — they relieve overbought/oversold conditions without breaking the trend structure.
The key distinction from a reversal: a pullback makes a higher low (uptrend) or lower high (downtrend) and the prior structure remains intact. Common pullback targets are previous structure, moving averages, or Fibonacci retracement levels.